Eagle Ford Shale

Rosetta Resources Updates Eagle Ford Shale Operations For 2011

Rosetta Resources (ROSE) updated investors on its 2011 development plan for its properties in Texas that are prospective for the Eagle Ford Shale.  The company plans to spend more than 90% of its $360 million capital budget in this area in 2011.

Rosetta Resources plans to drill forty wells in the Eagle Ford Shale in 2011 and has contracts in place for hydraulic fracturing services as well as processing and transportation of production from these wells.

Rosetta Resources exited 2010 with production of 86 million cubic feet of natural gas equivalents per day, with approximately 50% of this production composed of oil, condensate and natural gas liquids. 

Rosetta Resources has 26,500 net acres under lease in the Gates Ranch project area in Texas and raised the gross estimated ultimate recovery (EUR) rates on wells here to 7.2 billion cubic feet equivalent.  The company estimates the before income tax net present value for each well at $13.4 million. 

SM Energy Issues Update On Eagle Ford Shale Activities During Third Quarter Of 2010

SM Energy (SM) issued an operations update on its oil and gas development activities in various domestic areas, and provided information on its Eagle Ford Shale properties.  The company has operated acreage and is also involved in a joint venture with Anadarko Petroleum (APC).

SM Energy is currently operating two rigs in the play and spud nine wells and completed nine wells during the third quarter of 2010.  The company is currently producing 58.5 million cubic feet per day of natural gas and 2000 barrels per day of condensate.  SM Energy is facing limitation on infrastructure and only ran three Eagle Ford Shale wells at an unrestricted rate during the third quarter of 2010.

The Galvan Ranch 16H well was completed with a 5600 foot lateral and a seventeen stage hydraulic fracturing operation.  This Eagle Ford Shale well produced an average of 8.4 million cubic feet equivalent per day during the first seven days, and 7.8 million cubic feet equivalent per day during the first thirty days.

The Galvan Ranch 10H well was completed with a 5600 foot lateral and a seventeen stage hydraulic fracturing operation.  This Eagle Ford Shale well produced an average of 8.0 million cubic feet equivalent per day during the first seven days, and 7.3 million cubic feet equivalent per day during the first thirty days.

The Galvan Ranch 14H well was completed with a 5600 foot lateral and a seventeen stage hydraulic fracturing operation.  This Eagle Ford Shale well produced an average of 7.0 million cubic feet equivalent per day during the first seven days, and 5.9 million cubic feet equivalent per day during the first thirty days. 

SM Energy used to be known as St. Mary Land & Exploration Company.

Pioneer Natural Resources Issues Eagle Ford Shale Update For Third Quarter Of 2010

Pioneer Natural Resources Company (NYSE:PXD) issued an operations update on its activities in the Eagle Ford Shale in Texas.  The company has drilled and completed 14 horizontal wells, and brought six onto sales.  The other eight completed wells are waiting for gas processing infrastructure to be completed. 

Pioneer Natural Resources has eight more Eagle Ford Shale wells awaiting completion.  The company expects these wells to be completed and brought online by January 2011.  Pioneer Natural Resources has seven rigs operating in the Eagle Ford Shale and has the following drilling plan scheduled over the next three years in association with its joint venture partner:

2011 - 70 wells

2012 - 120 wells

2013 - 140 wells

Pioneer Natural Resources also estimates its production will ramp up as follows from the Eagle Ford Shale:

2010 exit rate – 5,000 BOE per day

2011 – 10,000 to 13,000 BOE per day

2013 - 32,000 to 41,000 BOE per day